AG Abbott Announces $14M Restitution Fund for US Fidelis Victims

A federal bankruptcy court has ordered the creation of a $14 million restitution fund for fraud victims of auto service contract marketer US Fidelis.

The victims included 69,000 Texas residents. Texas Attorney General Greg Abbott joined counterparts from eleven other states participating in the liquidation plan for US Fidelis in announcing the fund. 

The company misled car owners into believing it was affiliated with vehicle manufacturers and that the owners’ warranties were about to expire.

Tom Kelly is a spokesman for the Texas Attorney General’s office.

“They came in, calling people cold, representing that their warranty would be the equivalent of a new car warranty, which was completely false.”

US Fidelis also flooded the market with deceptive junk mail, robocalls and TV ads. The company’s managing partners have been indicted on criminal charges. For more information, visit the restitution fund webpage.

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Andrew Schneider

Andrew Schneider

Politics and Government Reporter

Andrew heads Houston Public Media’s coverage of national, state, and local elections. He also reports on major policy issues before the Texas Legislature and county and city governments across Greater Houston. Before taking up his current post, Andrew spent five years as Houston Public Media’s business reporter, covering the oil...

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